It’s Tuesday after MLK day and a bit rougher trading today but not like any other Monday. I should have ended the day up or about even, but I let down my guard down and strayed a bit from my trading plan. I started taking lessor plays again with fewer shares looking to add but all I did was to get into trouble losing just under an R today. I need to continue to trade in full share lots, immediately look for a pivot area on the 1 or 2 minute chart that I can move my stop to in order to continue to squeeze my losses down to under a full R stop. Every play needs to be like this, etc, etc, etc… This could have been a scratch day but instead I lost an R and there was no reason for it, I just made the mistake of attempting to make something happen which is a big mistake when trading. Remember You must be rigid in your rules and flexible in your expectations…
Mark Douglas
PS I’ve also been rating my gaps every morning via my Gap rating system, gappers that are a Tier 2 & 3 I’ve been waiting for the 15 minute buy or sell in the stock with much greater success. My 9:45 wide range bar strategy is one of my favorite methods for finding reliable plays.
